Federal Reserve Chair Jerome Powell speaks after Fed holds interest rates steady — 4/29/26

Summary

In his final press conference as Fed Chair, Jerome Powell announced the FOMC voted to hold rates steady at 3.5%-3.75%, citing elevated inflation driven by energy price spikes and tariffs. He emphasized the Fed's willingness to wait and see before adjusting policy, noted a divided committee leaning toward neutral, and defended Fed independence amid legal challenges. Powell also discussed his decision to remain on the board as a governor.

• Fed held rates unchanged at 3.5%-3.75% as expected.
• Inflation remains elevated due to Middle East energy shock and tariffs.
• Powell stated the Fed is in a good place to wait and see before cutting or hiking.
• Three FOMC members dissented over maintaining easing bias in statement.
• Powell will stay on as Fed governor after his chair term ends May 15.
• He cited legal attacks on Fed independence as reason for staying.
• US economy resilient with solid consumer spending and data center investment.
• Powell expects tariff-driven inflation to fade over next two quarters.